The City yesterday won its battle to get compensation from the government for Railtrack shares.

The troubled political career of transport secretary Stephen Byers is set for further turbulence with his approval of a £300 million compensation scheme for Railtrack's shareholders - details of the payout of public money are to be announced today.

More details have emerged about "son of Railtrack" - a government-backed team of businessmen will offer £8 billion, financed by debt, to buy back the shares and run a not-for-profit company limited by guarantee.